Strange, hedging activities in 2008 resulted in a gain. In 2009 the hedging loss was $7 million which was de minimis for a company with $3 Billion in assets. The company also had better terms than TNX.

http://www.theeastafrican.co.ke/news/-/2558/683114/-/qx4p5kz/-/index.html

Peter Dalali Kafumu, the Commissioner of Minerals in the Ministry of Energy, said Iamgold informed the government in September this year that it was winding up its activities.

This was after realising that there were minimal prospects of gold at the formerly government-owned Buckreef project.

Joseph Conway, chief executive officer of Iamgold, has confirmed that since acquiring the Buckreef project, the firm has spent about $15 million and completed over 100,000 metres of drilling.

Mr Conway said that, regrettably, the work has not increased the resource base materially, and that preliminary metallurgical studies indicate only low to moderate recoveries from heap leaching.

“Consequently, capital costs to develop a mine will be much higher than first thought. This has resulted in an after-tax impairment charge of $98.9 million on the project. We have, therefore, decided to close our activities in Tanzania,” he said.

The Buckreef project, in which Iamgold had 80 per cent ownership and the government the remaining 20 per cent, was acquired through Gallery Gold transaction in March 2006